FREE TRADE, FOREIGN DIRECT INVESTMENT AND CONSUMER SOVEREIGNTY IN NEPAL
One of the two most significant and parallel preconditions for consumer sovereignty is the frequent availability of quality goods and services in adequate quantity and variety with reasonable price as well. The other one is the purchasing power of consumer so that they can select or reject the goods and services. Both of them can be best achieved through competition and employment generation. The feudal system of production creates anti-competitive practices and unemployment which prohibit the consumer sovereignty. It is necessary to over throw the feudalism and establish the capitalism to generate competition and employment in a feudal country like Nepal. Industrialization breaks the feudal relation of production and creates capitalistic society. Natural and human resources, capital and technology are essential for industrialization. Nepal has no lack of natural and human resources but the capital and technology. Now international economic integration brought an opportunity to accumulate as well as distribute commodities and investment world wide through free trade and foreign direct investment. Nepal needs free trade to create a more competitive economic atmosphere and accumulate more quantity and variety of goods and services in a reasonable price. At the same time it needs foreign direct investment and technology to produce exportable goods and services and create employment to uplift purchasing capacity of its people. So the international economic integration through free trade and foreign investment is a path way to consumer sovereignty in Nepal.
One of the two most significant and parallel preconditions for consumer sovereignty is the frequent availability of quality goods and services in adequate quantity and variety with reasonable price as well. The other one is the purchasing power of consumer so that they can select or reject the goods and services. Both of them can be best achieved through competition and employment generation. The feudal system of production creates anti-competitive practices and unemployment which prohibit the consumer sovereignty. It is necessary to over throw the feudalism and establish the capitalism to generate competition and employment in a feudal country like Nepal. Industrialization breaks the feudal relation of production and creates capitalistic society. Natural and human resources, capital and technology are essential for industrialization. Nepal has no lack of natural and human resources but the capital and technology. Now international economic integration brought an opportunity to accumulate as well as distribute commodities and investment world wide through free trade and foreign direct investment. Nepal needs free trade to create a more competitive economic atmosphere and accumulate more quantity and variety of goods and services in a reasonable price. At the same time it needs foreign direct investment and technology to produce exportable goods and services and create employment to uplift purchasing capacity of its people. So the international economic integration through free trade and foreign investment is a path way to consumer sovereignty in Nepal.
